Posted at 06 September 2021 / Categories Market Roundups
Market Roundup
•French 12-Month BTF Auction -0.668%,-0.653% previous
•French 3-Month BTF Auction -0.652%,-0.648% previous
•French 6-Month BTF Auction -0.655%,-0.665% previous
Looking Ahead –Economic Data (GMT)
•23:30 Japan Average Cash Earnings (YoY) -0.1% previous
•23:30 Japan Jul Household Spending (MoM) 1.1% forecast, -3.2% previous
•23:30 Japan Jul Household Spending (YoY) 2.9% forecast, -5.1% previous
•23:30 Japan Jul Household Spending (YoY) 2.9% forecast, -5.1% previous
•23:30 Japan Jul Overtime Pay (YoY) 18.00% previous
•01:30 Australia Building Approvals (MoM) -8.6% forecast, -8.6% previous
•03:00 China Aug Exports (YoY) 17.1% forecast 19.3% previous
•03:00 China Aug Imports (YoY) 26.8% forecast 28.1% previous
•03:00 China Aug Trade Balance (USD) 51.05B forecast, 56.59B previous
04:30 Australia Sep RBA Interest Rate Decision 0.10% forecast, 0.10% previous
Looking Ahead-Events and Other Releases
04:30 Australia RBA Rate Statement
Currency Summaries
EUR/USD: The dipped against dollar on Monday as focus turned to European Central Bank policy decision on Thursday. Analysts reckon it is still too early for the ECB to call time on emergency stimulus, but it could agree to slow the pace of its bond buys after euro area inflation surged to a 10-year high at 3% last week. Trading conditions were thin with U.S. markets closed on Monday for a holiday. Immediate resistance can be seen at 1.1867 (38.2%fib), an upside break can trigger rise towards 1.1908(23.6%fib).On the downside, immediate support is seen at 1.1853(5DMA), a break below could take the pair towards 1.1833 (50%fib).
GBP/USD: Sterling slipped on Monday, pulling back from near one-month highs against the dollar and as signs grew that economic gains from post-lockdown reopening were starting to fade.The currency firmed on Friday against the dollar after data showed the United States created far fewer jobs in August than forecast. But subsequent moves have been listless as traders await further cues on the UK economy and the Bank of England’s future policy direction. Immediate resistance can be seen at 1.3841(Daily high),an upside break can trigger rise towards 1.3881 (23.6%fib).On the downside, immediate support is seen at 1.3822(38.2%fib), a break below could take the pair towards 1.3808 (5DMA).
USD/CAD: The Canadian dollar was little changed on Monday against its U.S. counterpart as investors awaited interest rate decision from Bank of Canada. The BoC is due to make an interest rate decision next Wednesday but an update of its economic projections is not expected until October. The Bank of Canada is still on course to raise interest rates to 0.50% towards the end of next year. The Canadian dollar was last trading up 0.01% at 1.2531 to the greenback. Immediate resistance can be seen at 1.2550(5DMA), an upside break can trigger rise towards 1.2575 (38.2%fib).On the downside, immediate support is seen at 1.2492 (23.6%fib), a break below could take the pair towards 1.2437 (Lower BB).
USD/JPY: The dollar strengthened against yen on Monday as greenback clawed back some of the losses sustained after last week’s poor U.S. jobs report, helped by firmer U.S. Treasury yields in a big week for major central banks. The dollar index, which measures the currency against six rivals, edged 0.1% higher to 92.23, after dipping to 91.941 for the first time since Aug. 4 on Friday, when a closely watched U.S. labour report showed the world’s largest economy created the fewest jobs in seven months in August. Strong resistance can be seen at 110.06(38.2%fib), an upside break can trigger rise towards 110.42(23.6%fib).On the downside, immediate support is seen at 109.78(50%fib), a break below could take the pair towards 109.45(61.8%fib).
Equities Recap
European shares climbed on Monday to end near record levels, led by technology stocks which surged to their highest this year as a surprise rise in German factory orders pointed to improving global demand and boosted sentiment.
UK's benchmark FTSE 100 closed up by 0.68 percent, Germany's Dax ended up by 0.96 percent, France’s CAC finished the day up by 0.80 percent.
Commodities Recap
Gold eased on Monday as the dollar firmed, but renewed bets that the U.S. Federal Reserve may go slow on unwinding its pandemic-driven economic support measures kept bullion close to a 2-1/2-month high.
Spot gold inched 0.2% lower to $1,822.86 per ounce by 10:00 a.m. EDT (1400 GMT). On Friday, prices hit their highest since June 16 at $1,833.80.
Oil prices fell on Monday after Saudi Arabia's sharp cuts to crude contract prices for Asia revived concerns over the demand outlook.
Brent crude futures fell 39 cents to settle at $72.22 a barrel. U.S. West Texas Intermediate crude were last down 40 cents at $68.89 a barrel.